Runwal Developers Limited, promoted by Sandeep Runwal, has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for a proposed Initial Public Offering (IPO) worth ₹2,000 crore.
The IPO comprises a fresh issue of ₹1,700 crore and an offer for sale (OFS) of ₹300 crore by promoter Sandeep Subhash Runwal. Each equity share will have a face value of ₹1.
Utilization of Proceeds
- Up to ₹1,300 crore will go towards prepayment/repayment of borrowings by Runwal Developers and its subsidiaries including Runwal Construction, Aethon Developers, R Retail Ventures, R Mall Developers, and Histyle Retail.
- The balance will be used for general corporate purposes.
The company may also consider a pre-IPO placement of up to ₹340 crore, which would reduce the fresh issue size.
IPO Structure
The issue will be made through the book-building process as per SEBI regulations:
- Up to 50% reserved for Qualified Institutional Buyers (QIBs)
- Not less than 15% for Non-Institutional Investors (NIIs)
- At least 35% for Retail Investors (RIIs)
ICICI Securities, BOB Capital Markets, IIFL Capital Services, and JM Financial are the book-running lead managers, while MUFG Intime India Private Limited is registrar to the issue. Shares will be listed on BSE and NSE.
Company Overview
Incorporated in 1988, Runwal Developers is a prominent real estate brand in the Mumbai Metropolitan Region (MMR) and Pune, with a portfolio spanning residential, commercial, organized retail, and upcoming hospitality projects.
- Ranked among the top 10 developers in MMR by residential units supplied (Jan 2022 – Mar 2025, Anarock Report).
- Second-largest developer in Thane during the same period.
- As of June 30, 2025:
- 35 completed projects
- 17 ongoing projects
- 24 upcoming projects
- Delivered 11.22 million sq. ft. of residential, commercial, and retail space.
Key Assets
- Residential: High-value developments such as The Residence (Nepean Sea Road), Nirvana (Parel), Elegante (Andheri), The Reserve (Worli), and large multi-tower projects including 25 Hour Life and Runwal Lands End in Thane.
- Retail: R City Mall in Ghatkopar – MMR’s largest Grade A mall with 1.23 million sq. ft. GLA and 97% occupancy as of March 31, 2025.
- Commercial: R Square in Andheri with 1.18 million sq. ft. GLA.
- Hospitality: Three hotels planned in Worli, Thane, and Pune.
Business Model & Strategy
Runwal Developers operates on a hybrid model combining:
- Outright land purchases
- Redevelopment of old housing societies (including SRA projects)
- Joint Development Agreements (JDAs)
As of June 30, 2025:
- 6 redevelopment projects (2.35 million sq. ft.)
- 2 JDA projects (1.15 million sq. ft.)
The company follows an integrated real estate model with in-house capabilities across land acquisition, design, construction, marketing, and post-possession services.
Sustainability Focus
Runwal Developers integrates green practices like rainwater harvesting, sewage treatment, LED lighting, and smart infrastructure.
- Operates an 8.20 MW solar plant in Osmanabad.
- Commissioning two more solar plants (12 MW) in Amravati by FY26 to power commercial assets.
Financial Performance
- FY23 Revenue: ₹301.9 crore | Net Profit: ₹42.3 crore
- FY25 Revenue: ₹1,163.2 crore | Net Profit: ₹137.4 crore
This growth highlights its strong execution capabilities and expanding footprint.
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